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Government agencies for the protection and conservation of natural and built resources in New South Wales have existed since the appointment of the first Minister for Conservation, the Hon. Captain Bill Dunn, MLA in 1946.

The Department of Environment, Climate Change and Water (DECCW) was formed following the merger of the Environment Protection Authority, the National Parks and Wildlife Service, the Botanic Gardens Trust, and Resource NSW. This agency contained the Office of Water, which was formed from the New South Wales Department of Water and Energy, formed in 2007 and dissolved in 2009; other parts and responsibilities of the Department of Water and Energy were transferred to the Division of Minerals and Energy in Industry & Investment New South Wales. At previous times DECCW was known as the Department of Environment and Conservation and the Department of Environment and Climate Change (DECC).

The department was headed by Director-General Lisa Corbyn and headquartered in Sydney, with offices across the city and state.

The Office consists of seven functional areas:

Climate Change, Policy and Programs Group

Environment Protection and Regulation Group

Parks and Wildlife Group

Botanic Gardens Trust

Corporate Services Division

Culture and Heritage Division

Scientific Services Division

Although an agency of the Government of New South Wales, the Office includes a number of independent boards and committees; for example, the management of the Botanic Gardens is overseen by the Botanic Gardens Trust, and the powers of the Environment Protection Authority, as exercised by the Authority to investigate or prosecute government agencies, are formally vested in an independent board. Threatened species determinations are made by an Independent Scientific Committee. A number of advisory councils have been established to allow community members to have a say in the management of parks and reserves.

The department and its predecessor, the Environment Protection Authority, have run a number of highly publicised campaigns on pollution-related issues, many of them in conjunction with local government. Priority areas have included keeping stormwater clean, monitoring water pollution at ocean and harbour beaches, litter reduction and air quality management.

With the national parks estate covering around 10 per cent of New South Wales, the department is a significant player in debates over land management in the state. The NPWS has a significant amount of responsibility for fire management in the state, and is often the target of criticism when Sydney - the so-called "city in a national park" - is threatened by bushfire.

As a land manager, the NPWS must also address pest management issues. The status of wild horses in Kosciuszko National Park and deer in Royal National Park is particularly contested, with many park users viewing these introduced species as having heritage value.

The New South Wales Labor government under Bob Carr sought to significantly increase the size of the national parks estate. This was despite funding constraints, meaning that funding per unit area has fallen in recent years. A large number of parks and reserves in the NPWS estate lack detailed plans of management and fire management strategies[citation needed].